Executive Briefing

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University of Wisconsin, Madison *

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Marketing

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Feb 20, 2024

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docx

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Executive Briefing GLIDZ Slogan: “Printed for U” Goal: Beat the competition and stay the market leader for 3-D printed carbon fiber bikes. Market Analysis: The Global Carbon Fiber Bike Market size was estimated at USD 3.01 billion in 2022, USD 3.24 billion in 2023 and is projected to grow at a Compound Annual Growth Rate (CAGR) of 7.69% to reach USD 5.45 billion by 2030. Business Strategy: The target market for carbon fiber bicycles consists of health and fitness-conscious people. It also consists of athletes, sportspersons, and adventure enthusiasts. This is the target market because carbon fiber bicycles are specifically designed as low weight, high tensile strength, and stiffness making it an appropriate choice for the target customers. Revenue Strategy: Capture niche sporting and adventure bike markets with high profit margins focusing on geographies with higher buying potential. Marketing Strategy: Sustainability and innovation as a key marketing strategy to display a competitive edge. Promoting the use of carbon fiber bikes as an eco-friendly alternative to traditional metal bikes, and partnering with environmental organizations to raise awareness and support for environmental causes. Innovative products made to design and customer specifications. Tactical Decisions: 1. Manufacturing: A key decision was made to buy two 3D printers with the capacity to make 1040 bikes in the first quarter. Having 2 printers will help the business maintain constant supply with downtime for each printer for maintenance to prevent wear and tear of the machines. The decision has also factored in the projected increase in demand in the future and increased scalability of the operations to meet the demand. Lastly, having two printers allows us to have one printer designated for each respective brand of bike Sales and Distribution: The company will target Selective distribution by opening a store in New York City. The store will prove a one-of-a-kind experience where bikes are custom-made to design by customers. It is a manageable strategy for a new company aiming high profit margin as intensive distribution through outlets can be a costly endeavor and unsustainable for a new company. NYC being one
of the largest cities in the US with a lot of sports and adventure enthusiasts will offer the right high-end customer base for a new company. 2. Brand Design: The bicycle industry is a highly competitive market with a wide range of market segments and target audiences. By licensing the technology to build carbon fiber bikes using 3D printing and developing three distinct brands that cater to different market segments, the industry can tap into the growing demand for high-quality, lightweight, and sustainable bicycles. The company will introduce 2 branded designs that are light, durable, and easy to handle designs targeting the 2 main categories of its customer base, sports and adventure. GLIDZ RX200: GLIDZ RX200 is a brand that represents innovation, performance, and sustainability. The brand logo has a stylized “Z” representing speed and velocity, reflecting the brand’s commitment to creating high-performance bicycles. The color scheme is likely to be sleek and modern, with a focus on custom-made sporty colors and prints. RX200 bicycles are well-positioned to be the go-to choice for cycling enthusiasts who desire the best performance, style, and sustainability. The brand will be marketed as a premium product that offers superior quality and innovative features at a price point that reflects the craftsmanship and technology that had gone into its creation. Target Audience: Cycling enthusiasts who are looking for high-speed sporting bicycles at a more affordable price point. GLIDZ ROCKZ ROCKZ is a brand that represents strength, power, and agility. The brand logo features a stylized “R” that represents the power and speed of the rider, reflecting the brand’s focus on creating bicycles that are designed to provide riders with a thrilling experience. The color scheme is likely to be bold and energetic, with a focus on red, black, and white tones. ROCKZ will attract adventure cyclists who are looking for a bike that is ultimate in power, comfort, and agility. GLIDZ ROCKZ bikes are designed to provide you with an adrenaline- fueled ride that is both affordable and durable. Target Audience: Cycling enthusiasts who are looking for light and durable adventure bicycles at a more affordable price point. 3. Financial position: The company will kick off with a seed money of 1.5 million with zero debt in the first quarter with 15000 shares issued to the executive team. The company will invest 500000 in the certificate of deposits earning 7500 in interest this quarter. The company had spent 60000 to design the two models of the bikes and 350000 in startup costs for opening the stores in the first quarter with -402K as net proceeds in the first quarter.
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